Intel Corp. (NASDAQ:INTC) stock climbed about 4% in premarket trading Monday as a broader technology rally lifted semiconductor stocks ahead of the chipmaker’s Oct. 29 earnings report.
The gains extend Intel’s 140% rally in 2026 as the company pushes deeper into artificial intelligence and seeks to capitalize on manufacturing constraints at rival Taiwan Semiconductor Manufacturing Co. Ltd. (NYSE:TSM).
Nasdaq futures rose 1.11%, while S&P 500 futures gained 0.53%, signaling renewed investor appetite for technology stocks after last week’s selloff.
Intel Targets Advanced AI Workloads
Intel announced Monday that it has enabled day-0 support for Meta Platforms Inc.’s (NASDAQ:META) Muse Spark Open, an 816 billion-parameter AI model, across its Xeon processors and upcoming GPU D-series.
The company said it successfully tested the model on four GPU D-series cards, each offering 160 GB of memory. The air-cooled design allows deployment in conventional data centers, potentially reducing infrastructure complexity.
Meanwhile, Intel’s Xeon processors support the model through memory-efficient AI processing, allowing businesses to run workloads privately on existing infrastructure.
Meta’s Muse Spark Open focuses on coding, debugging and automated workflows. It also supports image, audio, video and document processing.
The development strengthens Intel’s push into enterprise AI infrastructure as demand grows for hardware capable of running increasingly complex models.
For Intel, the integration highlights its efforts to expand beyond traditional processors and compete for enterprise AI infrastructure spending.
However, the announcement did not disclose customer commitments, expected revenue or a commercial launch date for the GPU D-series.
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Intel To Showcase Edge And Physical AI At Web Summit 2026
Separately, Intel will also showcase its edge AI, agentic AI and physical AI technologies at Web Summit 2026 in Lisbon, Portugal, from Nov. 9-12.
The company plans live demonstrations highlighting AI applications across manufacturing, smart cities, retail, robotics and healthcare.
Intel will focus on how its chips, software and industry partnerships can help businesses move AI projects from pilot programs to real-world deployment.
Intel experts will also discuss the challenges of scaling AI, including infrastructure costs, system integration, power efficiency, and deployment complexity.
Taiwan Semiconductor’s Capacity Constraints Could Benefit Intel
Meanwhile, Intel could benefit from tightening manufacturing and advanced-packaging capacity at Taiwan Semiconductor, as major chipmakers compete for limited AI chip supplies.
Mizuho Securities Managing Director Jordan Klein said Intel CEO Lip-Bu Tan is working to improve manufacturing execution and attract outside foundry customers.
The capacity crunch could encourage companies such as Apple Inc. (NASDAQ:AAPL) and NVIDIA Corp. (NASDAQ:NVDA) to explore Intel as an alternative manufacturing partner.
However, potential agreements remain speculative, and Intel must demonstrate reliable production capabilities to capitalize on the opportunity.
Intel Earnings Could Test Turnaround Momentum
Intel is scheduled to report third-quarter earnings on Thursday, Oct. 29.
Analysts expect earnings of 39 cents per share, up from 23 cents a year earlier.
Revenue is projected to rise to $16.44 billion from $13.65 billion in the year-ago quarter.
Investors will likely focus on Intel’s AI strategy, progress in advanced manufacturing and its ability to secure external foundry customers.
Top ETF Exposure
Intel carries a 6.47% weighting in the VanEck Semiconductor ETF (NASDAQ:SMH), 9.44% in the iShares Semiconductor ETF (NASDAQ:SOXX) and 7.26% in the MicroSectors FANG & Innovation 3x Leveraged ETN (NYSE:BULZ).
These exposures could amplify Intel’s sensitivity to semiconductor-sector fund flows, although the impact depends on fund activity and market conditions.
INTC Price Action: Intel shares rose 3.87% to $93.26 in premarket trading Monday, according to Benzinga Pro data.
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